Prairie Provident Resources, Inc. · TSX:PPR
Prairie Provident Resources — Investor Presentation (February 2025)
28 slides from Prairie Provident Resources's investor presentation, Feb 10, 2025
Slide 1: Transformational Mannville Portfolio & Unique Publicly Listed Investment Opportunity
TSX: PPR Transformational Mannville Portfolio & Unique Publicly Listed Investment Opportunity in Top-Tier Basal Quartz Oil Play February 2025
Slide 2: Prairie Provident Resources at a Glance
Corporate Overview Prairie Provident Resources at a Glance Alberta, Canada CORPORATE SUMMARY Low Decline Asset Base with Current Production (boe/d) (8) 2,750 long reserve life & significant Production mix (8) 60% Liquids upside potential Reserves (2P) (1,2) 21.6 MMboe Reserve Life Index (2P) (2) 23.
Slide 3: PPR Investment Opportunity
PPR Has a Clear Path to Unlocking Existing Asset Value Driving Returns PPR Investment Opportunity Alignment with • Long-standing support from Prudential and its affiliates including $10.4 million participation in 1 Principal Holder recent ~$12.0 MM Rights Offering Near-Term 2 • Successful drilling a
Slide 4: Summary Terms of Equity Financing
February 2025 Summary Terms of Equity Financing Issuer: Prairie Provident Resources Inc. (the “Company”). Offering: Best efforts, equity financing. • Units of the Company (“Units”) at a price of $0.0425 per Unit for gross proceeds of up to $4,100,000, to be conducted on a prospectus-exempt basis pur
Slide 5: Uplift From Near-Term Michichi Development
Near-Term Development Uplift From Near-Term Michichi Development Illustrative Production Impact Illustrative Single Well Cash Flow Impact Added production based on Michichi BQ average type curve (1) Based on One Michichi Basal Quartz well (1) Drilled: Two Michichi BQ Illustrative: Two Michichi BQ 12
Slide 6: Summary of Growth Opportunities
Deep Inventory of Low-Risk, High Return Mannville Locations Summary of Growth Opportunities Hayter Provost • Over 20 open hole HZ wells Michichi Michichi identified for evaluation • Stacked drilling locations in ~1,050 boe/d ~150 boe/d the Banff and Ellerslie/BQ x Sounding Lake • 50+ economic locati
Slide 7: Low Risk, High Return Drilling Opportunities Available
Deep Inventory of Low-Risk, High Return Locations Low Risk, High Return Drilling Opportunities Available Single Well Economics (1)(2) $70/bbl USD, $3.00/GJ AECO CAD flat Resilient Returns & Significant Upside (5) Capital F&D IRR NPV10 Payout EUR Locs. Type Well Economics 400% $MM $/boe % $MM Yrs Mbo
Slide 8: Recent Drilling Activity
Recent Drilling Activity Results – Q4 2024 Basal Quartz Drills • In Q4 2024 PPR successfully drilled and completed two Cumulative IP60 Production (1) Michichi Basal Quartz wells 25,000 - Virgin reservoir pressure encountered at both wells - Oil cuts evident at 2% Load Water Recovery on both wells 20
Slide 9: Michichi Basal Quartz
Michichi Basal Quartz
Slide 10: Basal Quartz – Ranks With the Best Plays in WCSB
Basal Quartz – Ranks With the Best Plays in WCSB (Western Canadian Sedimentary Basin) Play Comparison – Payout Ranking (1) Type Curve IP90 CAPEX EUR NGL Liq. Pct IRR Payout NPV10 P/I Area boe/d C$M Mboe Mbbl % % Years C$M Ratio Charlie Lake - Lower 450 3,000 375 20 63% >500% 0.3 7,179 2.4 Clearwater
Slide 11: Basal Quartz – Reliable Cash-Flow Generator for PPR
Basal Quartz – Reliable Cash-Flow Generator for PPR PPR’s Michichi Basal Quartz Overview Key Highlights Type Curve & Single Well Economics (1)(2)(4) • Two highly successful wells DCET in Q4 2024 1000 Basal Quartz Average Type Curve • B.T. NPV10 breakeven of less than US$40 WTI (3) Peak Rate ~530 boe
Slide 12: Basal Quartz – Regional Overview & Activity
Basal Quartz – Regional Overview & Activity Michichi Basal Quartz Potential • Historical horizontal activity has focused on the thicker sands to the southwest • Recent activity is pushing the play into thinner sands deposited against the Paleozoic Highlands • PPR acreage is well situated within the
Slide 13: Basal Quartz – PPR Acreage De-risked and Analogous to Offsetting Pools
Basal Quartz – PPR Acreage De-risked and Analogous to Highly Productive Offsetting Pools Michichi Basal Quartz Comparison to Offsets Q4 2024 Drills Competitor Q5Q Pool Competitor 01-12 Offset PPR 18-030-18W4 PPR 32-029-18W4 Ellerslie Ellerslie Ellerslie Ellerslie Net Pay 13 m Net Pay 14 m Net Pay 11
Slide 14: Advantageous Infrastructure & Egress Position
Well Established Field Provides Solid Infrastructure Framework to Support Mannville Inventory Advantageous Infrastructure & Egress Position • PPR infrastructure is optimally positioned with the BQ fairway • Line of sight to add volumes without major infrastructure investment • Solid framework exists
Slide 15: Additional Growth Opportunities
Additional Growth Opportunities 15
Slide 16: Potential for Significant Growth in Michichi Field
Potential for Significant Growth in Michichi Field Michichi Banff Sand Legend: • Banff Sand Play has superior porosity and permeability allowing 13-28 Sales higher production rates than the limestone facies traditionally Banff Sand Fairway PPR Banff Rights targeted PPR Pipeline • Banff sand will be
Slide 17: Quick, Repeatable, Active Play in the Provost Area
Quick, Repeatable, Active Play in the Provost Area Provost Multi-Lateral Sparky • High degree of certainty Legend: PPR Sparky Industry Sparky HZ Planned Multi-lats • Oil presence proven with vertical recompletion at 13-26 PPR Mannville Rights • Several analog, offsetting, producing reservoirs utiliz
Slide 18: High Value Locations in the Successful Princess Field
High Value Locations in the Successful Princess Field Princess Multi-Lateral Ellerslie • Multi-leg horizontal wells planned in the Ellerslie formation Legend: which demonstrate robust economics Industry Ellerslie HZ PPR Ellerslie Rights • Offset successful PPR horizontal Ellerslie wells PPR Ellersli
Slide 19: Provost Hayter McLaren Redevelopment
Future Development Opportunities Provost Hayter McLaren Redevelopment • Well defined Upper Mannville, thick pay section with low recovery factor • Third-party reservoir modelling corroborated with core data highlight significant drilling opportunities in the McLaren heavy oil play • Over 20 openhole
Slide 20: Corporate Overview
PRAIRIE PROVIDENT ESOQURCES Ss Corporate Overview
Slide 21: Experienced Management and Board
Corporate Overview Experienced Management and Board Dale Miller Glenn Hamilton Amber Wright Executive Chairman Director Vice President, Operations & Engineering Mr. Dale Miller is a professional engineer with 40 Mr. Glenn Hamilton has over 35 years of Ms. Wright is a professional engineer with over
Slide 22: Significant Unrealized Value in Tax Pools
Tax Pools Significant Unrealized Value in Tax Pools Illustrative Tax Pool Valuation (2) Tax Pool Composition (1) ($ Millions) ($ Millions, unless otherwise stated) ~$390 million ~$70 immediately tax Annual Taxable deductible Income NPV 10% NPV 10% / Share ~$30 $25 ~$50 ~$0.04 $50 ~$75 ~$0.06 ~$100 ~
Slide 23: 2023 Reserves Benchmarking
PPR trades at a substantial discount on a reserve basis relative to peers 2023 Reserves Benchmarking Peer Benchmarking (EV to 1P/2P NPV10) (1,2) Net Asset Value per Share (2,3) (C$/sh.) Current Share Price 1P 2P 2.50x $0.25 $0.23 2.00x $0.20 $0.17 $0.15 1.50x $0.12 $0.10 $0.11 1.00x $0.08 $0.05 0.50
Slide 24: Reader Advisories
Reader Advisories Forward-Looking Information Certain information included in this presentation constitutes forward-looking information within the meaning of applicable Canadian securities laws. Statements that constitute forward-looking information relate to future performance, events or circumstan
Slide 25: Reader Advisories
Reader Advisories Non-GAAP Financial Measures and Oil and Gas Metrics This presentation discloses certain financial measures, as described below, that are 'non-GAAP financial measures' within the meaning of applicable Canadian securities laws. Such measures do not have a standardized or prescribed m
Slide 26: Reader Advisories
Reader Advisories Non-GAAP Financial Measures and Oil and Gas Metrics (Continued) Estimated Ultimate Recovery (EUR). The type well information provided in this presentation includes estimated ultimate recovery (EUR), which is a measure commonly used in the oil and gas industry but is not a resource
Slide 27: Reader Advisories
Reader Advisories Reserves Data Disclosure Figures provided in this presentation as to proved reserves and probable reserves volumes, and net present value of related future net revenue, are estimates of such volumes and values as at December 31, 2023 based on an evaluation by Sproule Associates Lim
Slide 28: Reader Advisories
Reader Advisories Statutory Rights of Rescission The following summary of the statutory rights of action for damages or rescission will apply to a Canadian purchaser of securities in the event that this presentation is deemed to be an offering memorandum pursuant to securities legislation in the app
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